Automotive Suspension Market

Market Overview

The global automotive suspension market size was worth USD 60,413.32 million in 2022. It is estimated to reach USD 78,825.68 million by 2031, growing at a CAGR of 3% during the forecast period (2023–2031). Automotive suspension assists vehicles in safe, comfortable driving and easy road maneuverability. Automotive suspension plays a vital role in improving the dynamics of a vehicle by increasing its road-holding capability.

Market Dynamics

Global Market Drivers

Technological Advancements

Automobile companies have focused on producing advanced products to improve vehicle comfort and luxury. In the current scenario, newer versions of suspension systems, which are lightweight and cost-effective, are available in the market. Magnetic dampers, active curve tilting, and hydraulic roll control are recent developments in the market. Moreover, numerous companies have launched new and advanced suspension systems to expand their product portfolio. For instance, Oshkosh Defense, LLC, an American vehicle component manufacturing company, launched a TAK-4 family of independent suspension systems, which offers advantages such as increased vehicle mobility, improved ride quality, superior off-road speed, increased load-carrying capacity, easier maintenance, and enhanced stability for weapon systems. Thus, technological advancements in automotive suspension systems significantly help to grow the global market.

Rise in Production of Vehicles

The automotive industry witnessed robust growth in the last decade in countries such as China, the U.S., Japan, India, Germany, and the UK. The global automotive industry initially focused on developed countries such as Japan, the U.S., and Germany. However, companies have shifted their manufacturing facilities in developing countries, such as China, Thailand, and India, due to an rise in demand for automobiles & automotive components in these countries. The low cost of labor further decreases the production cost. It thus enables the manufacturers to cater to the increasing demands, which is anticipated to increase the sale of electric vehicles during the forecast period. In addition, a decrease in prices of electric vehicle parts such as batteries, transmissions, and alternators is expected to propel the sales of electric vehicles. Such factors are projected to contribute toward the growth of the global vehicle industry

Global Market Restraint

Implementation of Stringent Regulations for Vehicles

Countries such as the U.S., Germany, France, and China have enforced stringent laws and regulations for vehicles and have mandated automobile manufacturers to use advanced technologies to reduce high emission levels in vehicles. Owing to such regulations, vehicle manufacturers are inclined toward installing alternate components in vehicles, which are lighter in weight but simultaneously hamper the safety of vehicles and passengers. Moreover, various laws have been enforced to reduce vehicle emissions. Therefore, global standards for vehicles act as a restraint for leading players in the market.

Global Market Opportunities

Rise in Demand for Lightweight Suspension System

Suspension plays a vital role in improving luxury and comfort and reducing cabin vibrations in vehicles. Conventional suspension components are manufactured using materials such as steel or alloy steel, including stainless steel and carbon steel. However, these materials are heavy and have less strength as compared to other materials. Therefore, technological advancements in the automotive industry have led to the development of lightweight automotive materials such as aluminum, carbon fiber, and titanium alloys in manufacturing components of suspension systems. Such materials are used for manufacturing suspension components due to their improved properties such as low weight, high specific stiffness, corrosion resistance, ability to produce intricate shapes, high specific strength, and high impact energy absorption. Moreover, automotive lightweight materials are expected to witness high adoption in the automotive industry due to an increase in demand for fuel-efficient vehicles and the implementation of stringent vehicular emission regulations, which will likely provide significant growth opportunities for the expansion of the automotive suspension market in the near future

Regional Analysis

On a regional basis, the global automotive suspension market is classified into North America, Europe, Asia-Pacific, and LAMEA.

Asia-Pacific Dominates the Global Market

Asia-Pacific is the most significant global teeth whitening market shareholder and will likely grow at a CAGR of 2.8% over the forecast period. Factors such as an increase in income, rise in purchasing power, changes in lifestyle due to rapid urbanization, and rise in awareness about automotive suspension systems. In addition, countries such as China, Japan, and India are projected to witness significant demand for suspension systems in the near future, owing to an increase in demand for vehicles, thereby driving the automotive suspension market growth. The region has significantly contributed to global vehicle sales and serves as one of the most lucrative markets for investment. Key players in the automotive market have also been trying to grow in Asia by setting up their offices or factories in countries like Japan, India, and China, which are the automotive hubs of the region. The demand for luxury cars is anticipated to rise in the Asian region due to strong economic conditions and the continuous rise in disposable income of the population. Moreover, numerous manufacturers have ventured into the region because of the flexibility of establishing manufacturing facilities.

In North America, the automotive suspension market is anticipated to grow significantly this region due to continuous development in technology and the rise in the adoption of automotive suspension systems. The launch of new technologies has increased the comfort level while driving and reduced the chances of damage to goods. Various top players operating in North America have developed suspension systems for automobiles, which has led to the automotive suspension market growth. To provide comfort and safety to drivers and passengers, many developments have been witnessed in the North American market, propelling the market's growth. Many top players in the region, such as Firestone Industrial Products, Hendrickson, and BWI Group, have developed new and advanced air suspension systems, which will likely boost the growth of the air suspension system market during the forecast period.

Europe is one of the biggest income generators in the global automobile suspension market. This is because of things like the high demand for comfortable driving and the fact that cars now have to have Euro-NCAP ratings. Also, the adjustable suspension system has become more popular in Europe because of strict government rules about passenger safety in many countries of the region, as well as a rise in demand for lightweight cars that are more comfortable to drive. Technical developments in automotive suspension systems and enforcement of safety features in vehicles to enhance drive quality are the key factors that contribute toward the growth of the market in Europe. With the rise in the popularity of autonomous driving, the adoption of advanced suspension systems increased considerably to ensure the safety and comfort of automobiles while driving. The implementation of supportive legislation for better suspension systems and the introduction of cost-effective vehicles fuels the use of safety systems in cars to improve safety and comfort. Furthermore, automotive manufacturers in the region have focused on reducing road fatalities by adopting various safety programs such as eSafety Aware and other informative campaigns. Automotive manufacturers have prioritized the development of adaptive suspension systems to ensure better driving assistance for vehicles. In addition, key players such as Continental AG and WABCO have developed new suspension systems for use in heavy-duty commercial vehicles, thus augmenting the growth of the automotive suspension market in the region.

LAMEA has witnessed rapid growth due to the economic stability in the region. The adoption of better suspension systems is in the developing phase in the LAMEA automotive industry. Countries such as Brazil, Colombia, and Argentina drive the LAMEA automotive suspension market due to an increase in the adoption of vehicles to carry out different operations. The implementation of the New Car Assessment Program's (NCAP) policies to reduce crashes, along with an increase in comfort while driving, play a vital role in boosting the growth of the automotive suspension market in LAMEA. The demand for better and more efficient suspension systems has increased with the upsurge in production and sales of vehicles across LAMEA. The upsurge in income of consumers across various countries in LAMEA has enabled them to buy vehicles equipped with efficient safety systems. This factor is expected to contribute toward the growth of the market in LAMEA.

Segmental Analysis

The global automotive suspension market is bifurcated into whitening products, applications, composition, and distribution channels.

Based on the system, the market is classified into passive and semi-active/active systems.

The passive system segment dominates the global market and will likely to exhibit a CAGR of 2.8% over the forecast period. Passive suspensions comprise springs and shock absorbers. In this type of suspension, the characteristics of the components are fixed. The designer of the suspension determines these characteristics depending on the design goal and intended application. Travel of the passive suspension is dependent on the road condition. It helps vehicles to absorb shocks while driving to offer comfort to passengers. Passive suspension systems are incorporated in various vehicles. Simple design and low maintenance cost have increased their dominance in the automotive suspension market. In addition, the adoption of passive suspension systems in vehicles is considerably high due to the high initial cost of other suspension systems. The majority of the global leaders, such as Tenneco, KYB Corporation, and Continental AG, have focused on developing various lightweight passive suspension systems to increase their market share. Moreover, these leading companies intend to expand their presence in the untapped market of Asia-Pacific to increase their market dominance.

Based on components, the market is categorised into springs, shock absorbers, struts, ball joints, and control arms. 

The shock dampener segment owns the global market and will likely to exhibit a CAGR of 2.4% over the forecast period. Standard suspension systems in cars and light trucks have shock dampers. Shock absorbers provide resistance by pushing hydraulic fluid through valves in the piston as it moves up and down. This dampens the movement of the springs as they compress and expand during travel. The amount of resistance depends on the rate of movement of the suspension. Without shock absorbers, vehicles would continually bounce, that would make it difficult to control the vehicle. Shock absorbers provide a comfortable ride and ensure contact of tires with the road for better stability and control. Shock dampeners are used in all types of suspension systems of vehicles due to its characteristic property to dampen the oscillations of vehicles. In addition, recent advancements, such as ride height control, have made it possible to use shock dampeners in air suspension systems, thereby improving the performance of vehicles.

On the basis of geometry, the automotive suspension market is segregated into dependent, semi-independent, and independent types.

The independent suspension segment dominates the global market and will likely to exhibit a CAGR of 3% during the forecast period. The motion of wheels is independent in independent suspension to ensure that the motion of one wheel does not affect the others. Macpherson strut, double wishbone, trailing arm, swing axle, semi-trailing, and arm multi-link are independent suspensions. Moreover, the Macpherson strut is a combination of a shock absorber and coil spring into a single unit. It is the most common independent suspension used in mostly front-drive vehicles. This suspension unit leads to more compact and lighter suspension systems. Technological advancements in automotive suspension systems and the implementation of global safety protocols are expected to drive the growth of the independent suspension market. Furthermore, companies have focused on producing advanced suspension systems that comply with the global safety protocols and vehicle standards.

Based on suspension type, the global automotive suspension is fragmented into hydraulic, air, and leaf spring suspensions.

The hydraulic suspension segment is the most significant contributor to the market and is estimated to exhibit a CAGR of 2.4% over the forecast period. The hydraulic suspension system uses hydraulic shock absorbers along with springs. It is a traditional type of suspension system that has been used in the automotive industry for a long time. In addition, it is used in all types of vehicles, such as two-wheelers, passenger cars, and commercial vehicles. The demand for hydraulic suspension systems has increased in recent years, owing to advancements in technology such as hydropneumatic suspension systems. Additionally, the increase in the production of heavy-duty vehicles has propelled the market growth.

By vehicle type, the automotive suspension system market is classified into two-wheelers, passenger cars, and commercial vehicles.

The passenger car segment is the most significant contributor to the market and will likely to exhibit a CAGR of 2.8% over the forecast period. Passenger cars such as Microcars, Hatchbacks, Sedans, Saloons, SUVs, MUVs, and Vans can be classified. Microcars are small cars having a seating capacity of only two people and engines less than 1 liter. Hatchbacks are passenger vehicles having a seating capacity of about four to five people. Sedans are high-powered engine cars, larger than hatchbacks, having the same seating capacity, but they have a large trunk to carry luggage. SUVs and MUVs are sports vehicles with more seating capacity and large ground clearance. They have a monocoque construction having light off-roading properties. Passenger cars hold the maximum share in the automotive suspension market. Around 60% of passenger cars across the globe are equipped with hydraulic suspension systems. Presently, companies are manufacturing advanced suspension systems equipped with anti-roll bars, traction control, and electronic brake distribution to enhance vehicles' safety in emergencies. Recent technological advancements in automotive suspension systems and the implementation of global safety protocols are expected to drive the growth of the automotive suspension market. Companies are engaged in regular manufacturing of advanced suspension systems, which meet the global safety protocols and vehicle standards, thereby augmenting the growth of the global market.

Recent Developments

• April 2023- ZF Friedrichshafen AG reported opening a new research and development center for car suspension systems. The center is in the United States, and its main job will be creating new self-driving car technologies.
• May 2023- Hitachi Ltd. said that it had made a new type of active suspension system that uses artificial intelligence. The new system is meant to make the ride more comfortable and improve the way the car handles in all driving situations.